CEO Guide to Site Selection

#30

Arkansas

CEO Rank on Best & Worst States for Business

INNOVATION IN THE NATURAL STATE

Home to Walmart and several of its ancillary businesses, Arkansas has long thrived as a distribution hub. However, it is also continually climbing the ranks in innovation and technology. Ambitious plans to educate students in computer science and coding, combined with new innovation centers in Little Rock and Fayetteville are now producing startups. Amazon, Emerson and Mars Petcare have all announced projects in the Natural State in the past year.

"In Arkansas, we were the first state to require all schools to offer at least one [computer science] class, and we are one of the three states that require a computer science credit to graduate… Digital literacy is the foundation our nation needs to succeed in the high-tech economy of the 21st-century in everything from logistics to farming to national security.”
Asa Hutchinson
Governor

TAXES

0 %

top corporate income tax

# 0

on the Tax Foundation’s State Business Tax Climate Index ranking

EDUCATION

0 %

of students graduated high school in 2019

0 %

of adults age 25 and older have a bachelor’s degree or higher

UNEMPLOYMENT RATE

0 %

RIGHT TO WORK STATE

Yes

QUALITY OF LIFE

# 0

POPULATION GROWTH

0 %

increase between 2010 and 2020

KEY INCENTIVES

Advantage Arkansas: Offers a state income tax credit for the creation of jobs with wages equal to or above the lowest county average hourly wage.

Tax Back: Provides sales and use tax refunds on the pur- chase of building materials, machinery and equipment to eligible businesses.

Equity Investment Tax Credit: Offers a discretionary income tax credit of up to 33.3% of amount invested for technology-based businesses offering wages above stateor county averages.

Create Rebate: Provides a discretionary incentive that provides annual cash payments based on a company’s annual payroll for new, permanent employees.

Customized Training Grants: The grants offer reimbursement for both on- and off-site training for newly created positions related to an expansion or new location.

EDCs

Arkansas Economic Development Commission
arkansasedc.com

Association of Arkansas Development Organizations

arkansaseconomicregions.org

Little Rock Regional Chamber

littlerockchamber.com/economic-development

Fort Smith Regional Alliance

fortsmithregionalalliance.com

HIGHLIGHTED PROGRAM OR INITIATIVE

Shortly before the pandemic hit, Arkansas rolled out its Future Fit program. The program helps place qualified workers directly into jobs with participating companiesthroughout the state. Participants complete a training program that prepares them for entry-level employment with these companies. The program can be tailored to industry-specific training for each region of the state and is now offered at more than a dozen colleges.

BIG DEALS

  • Amazon opened its first two fulfillment centers in Central Arkansas in the fall of 2021 which have created more than 1,500 jobs.
  • Mars Petcare expanded operations twice in 2021 with a total investment of $262 million and 260 new jobs.
  • The U.S. Air Force selected Ebbing Air National Guard Base in Fort Smith, Arkansas, to host a multi-national training site for F-16 Falcon and F-35 fighter jets. Theproject is expected to have an $800 million to $1 billion economic impact on the region.
  • Emerson announced in October 2020 a $35 million investment and 245 new jobs in Ash Flat.
  • Majestic Steel USA announced in August 2021 a new plant and 225 new jobs in Blytheville.

 

BIG COMPANIES

4 Fortune 500 companies headquartered in state:

  • Walmart
  • Tyson Foods
  • J.B. Hunt Transport Services
  • Murphy USA